Sam has established a revocable inter vivos trust and has named the trustee the beneficiary of all his life insurance policies. His will provides that all of his residuary estate will pour over to the trust. All the following statements concerning this arrangement are correct EXCEPT

A. The trust must be in existence prior to the date the will is executed.

B. The trust can provide liquidity in Sam's estate.

C. Flexibility and discretion in the administration of trust assets can be attained.

D. Probate costs will be eliminated in the administration of Sam's estate.